Chapter 3 Organisational culture. Learning objectives Define the term organisational culture Identify the components of organisational culture What factors

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  • Chapter 3 Organisational culture
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  • Learning objectives Define the term organisational culture Identify the components of organisational culture What factors influence the company culture Describe Scheins approach to organisational culture Describe Handys four cultural types Describe how organisational culture is influenced by national cultures using the Hofstede approach
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  • ORGANISATIONAL CULTURE COMPONENTSINFLUENCESWRITERS
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  • Definition of organisational culture the way we do things around here. (Handy) Sum total of the belief, knowledge, attitudes, norms and customs that prevail in an organisation
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  • Definition of organisational culture Organisations have distinctive cultures Behaviour acceptable in one organisational culture may be inappropriate in another Cultures develop over time or can change instantly as a result of a single major event (e.g. death of company founder, threatened takeover)
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  • Components of culture
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  • Factors that shape the culture Organisations founder Organisations history Leadership and management style Organisations environment Size Technology Diversity Age Ownership
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  • More subtle influences Degree of individual initiative Degree of risk tolerance Clarity of direction Degree of integration between groups Reward system Conflict tolerance Communication patterns Formalisation of clothing and office layout Kind of people employed
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  • Writers of culture Schein Handy Hofstede
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  • Schein First leaders of the company create the culture of the organisation, attributes for later leaders are determined by the culture Strong link between leadership and culture 3 levels: 1.Artefacts aspects of culture that can easily be seen, e.g. the way people dress 2.Espoused values these refer to the strategies and goals of the organisation, including company slogans 3.Basic assumptions difficult to identify as they are unseen, and exist mainly at the unconscious level
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  • Schein 3 levels of culture The aspects of culture that can be easily seen e.g. the way that people dress Artefacts The strategies and goals of the organisation including company slogans etc. Espoused values difficult to identify as they are unseen and exist mainly at the unconscious level Basic assumptions and values
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  • Handy 1.Power culture (Zeus) 2.Role culture (Apollo) 3.Task culture (Athena) 4.Person or existential culture (Dionysus)
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  • Handys cultural Types Power Found in smaller entrepreneurial organisations One major source of influence (the founder) Task Project based, creative work Nothing is allowed to get in the way of achieving the goals Role Common in bureaucratic organisations (e.g. Government) Emphasis on position within the hierarchy Person Built around educated and articulate individuals specialists with a common interest
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  • Hofstede Study of more than 100,000 employees in IBM in more than 40 countries How does national culture influence business behaviour?
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  • Hofstede 1.Individualism vs. collectivism 2.Uncertainty avoidance 3.Power distance 4.Masculinity vs. femininity 5.Confucianism vs. dynamism (Time orientation)
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  • Individualism-Collectivism Peru Chile Italy Nigeria India US/Canada Japan Egypt South Korea France PR China Portugal Indonesia Hong Kong Taiwan Collectivism High Low Individualism High Low Australia Hungary New Zealand
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  • Power Distance The degree that people accept an unequal distribution of power in society. Japan Israel N.Z. Venezuela High Power Distance Malaysia Low Power Distance U.S.
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  • Uncertainty Avoidance High U.A. Low U.A. Japan Greece Australia The degree that people tolerate ambiguity (low) or feel threatened by ambiguity and uncertainty (high uncertainty avoidance). Italy Singapore
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  • Achievement-Nurturing Achievement Nurturing Japan Australia Australia Sweden Sweden The degree that people value assertiveness, competitiveness and materialism (achievement) versus relationships and well-being of others (nurturing). China Chile France
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  • Hofstedes Framework (contd)
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  • Chapter Summary Norms Symbols Shared values Size Technology Age History Ownership Schein Handy Hofstede
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  • Chapter 5 Individual and group behaviour in business organisations
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  • Learning objectives Define the term behaviour Explain what factors influence the way individuals act Describe the characteristics of passive, aggressive and assertive behaviour Give reasons why working in teams is more effective than working as an individual Outline the contribution teams make to the organisational success What factors are required in order to make a cohesive group? Distinguish between different approaches necessary to organise work around and individual and around the work group
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  • BEHAVIOUR PASSIVE AGGRESSIVE INDIVIDUAL ASSERTIVE GROUP
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  • Main characteristics of individual and group behaviour CAUSE (STIMULUS) PERSONS NEED, WANT, TENSION, DISCOMFORT GOAL BEHAVIOUR
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  • Factors affecting behaviour and performance at work Motivation level Perception Attitudes Personality Intelligence
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  • Motivation Physical and working conditions Safety Monetary rewards Recognition Many of the factors that motivate individuals to perform are social in nature; groups can bring out the best in people and can be essential for the delivery of social needs.
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  • Perception Developing a group means identifying distinct roles for each of its members. Any individual can have several roles. A role is the expected pattern of behaviours associated with members occupying a particular position within the structure of the organisation.
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  • Role theory Role ambiguity Role conflict Role incompatibility Role signs Role set Role behaviour
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  • Different types of behaviour Assertive behaviour Aggressive behaviour Passive behaviour
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  • Chapter 6 Team formation, development and management
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  • Learning objectives Explain what is meant by a group Explain what is meant by a team Distinguish between a group and a team What is the purpose of the team Explain the different roles people play in a team with reference to Belbins theory Explain the stages of team development as per Tuckmans theory What factors make a team ineffective Identify the criteria necessary for a successful team as per Peters and Waterman What criteria is used to evaluate teams success
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  • BEHAVIOUR BELBIN TUCKMAN GROUP PETERS & WATERMAN TEAM
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  • Differences between a group and a team Group is any collection of people who perceive themselves to be a group. Groups have the following attributes: A sense of identity (there are acknowledged boundaries of the group, who is in and who is out) Loyalty to the group (acceptance within the group that bind the group together) Purpose and leadership (express purpose, choose individuals to lead them towards their goals)
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  • Differences between a group and a team Practically all individual effort takes place in association with other people in groups Formal vs. informal groups
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  • Teams Any group of people who must significantly relate with each other in order to accomplish shared objectives Team is a formal group It has a leader and a distinctive culture and is geared towards a final result. Teams must have a reason for working together. They must need each others skills, talent and experience in order to achieve their mutual goals. Purpose of a team is to solve complex problems (diverse team of specialists & synergy)
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  • Teams Share a common goal Enjoy working together Commitment to achieve goals Diverse individuals Loyalty to the project Attain a team spirit
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  • Characteristics of effective teams
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  • Teams vs. groups TeamsGroups More openness & trust Feelings are expressed more feely Common objectives Conflict is worked out Decisions are by consensus Commitment can be very high People accommodate each other People negotiate Objectives may be modified Commitment can be high
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  • Effective teamwork (Woodcock) Rights balance of skills, ability and aspiration Mistakes are faced openly and there is no scape-goating There is pride in success, support and trust in personal relationships There is a high level of task achievement Openness and honesty is present There is healthy competition There is a happy feel to the place and good relationships with other departments
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  • Who should belong to the team? Team members should be selected for their potential to contribute to getting things done (task performance) and establishing good working relationships